HC Deb 09 March 1967 vol 742 c339W
68. Mr. Nott

asked the Chancellor of the Exchequer what were the amounts of tax revenue lost to the Exchequer as a result of free depreciation in development districts in the fiscal years 1962–63, 1963–64, and 1964–65; and what was the estimated cost of cash grants in development areas for the fiscal years 1965–66 and 1966–67.

Mr. Diamond

Free depreciation related to expenditure incurred between 4th April, 1963, and 16th January, 1966. In 1963–64 the cost was negligble; the estimated cost in 1964–65 is £20 million. Expenditure incurred after 16th January, 1966 qualifies for grants which are initially payable 18 months after the expenditure. There is accordingly no cost to the Exchequer in 1965–66 or 1966–67.